Uranium Hunter Corporation (URHN.OB) announced that the company has signed a letter of intent with Pinewood Resources Ltd earlier this week. This LOI will grant Uranium Hunter a 75% interest in the “Karoo” Project; a project focused on uranium exploration lands located in the Southern regions of Tanzania.
Per the terms specified within the letter of intent, the company may be eligible for 75% interest in the property by making a payment of $50,000.00 within 5 days of signing a definitive agreement. If Uranium decides that they would like to pay Pinewood Resources this value, Uranium Hunter will be responsible for making all property payments and taxes to keep the property in good standing. Furthermore, the company will be responsible for funding all exploration costs until it has formally earned 75% interest, after which time the costs shall be shared proportionally with each company.
Uranium Hunter must also pay to Pinewood $5,000.00, $10,000.00 and $15,000.00 for licensing costs occurred for 18 properties. However, Uranium Hunter may decide that certain properties are not needed, in which no payment is due. Uranium Hunter must also issue to Pinewood 150,000 restricted shares payable over a 12-month period, divided into 3 payments of 50,000 shares.
Adam Cegielski, President and CEO of Hunter, stated, “We are thrilled that we were able to secure by way of LOI 18 significant Uranium Properties covering over 8600 km2 within close proximity to Paladin’s Kaleyekara uranium deposit in Malawi, and the newly announced Mtonya Uranium Project discovery in the southwestern region of Tanzania. Our team is presently doing its due diligence and further details of the property and our progress will be announced shortly. With the addition of this prospective land package to Uranium Hunter’s property portfolio, Uranium Hunter is now positioned for growth through exploration on multiple project fronts.”
The Company is finalizing all due diligence regarding this property, and a definitive agreement is to be signed on or before December 11, 2007.
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